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Nonprofit explains audit

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BATON ROUGE - Family Service of Greater Baton Rouge is explaining an audit that details some mistakes the organization made when it submitted payments for payroll taxes and employee contributions.

The audit shows that the group was not making those payments on time, but the organization says that's because they were still waiting on money for services they provide.

"Our revenue comes to us on a cost reimbursement basis, so when we're not paid in a timely manner, it is difficult for us to pay our obligations in a timely manner. It's just like your household budget," said Rene Taylor, the executive director of the group.

She explains that sometimes funding partners will not pay for months at a time, all while expecting services to begin right away.

"That puts us in a really difficult cash situation because we have to carry the expenses for that program for a six month period with no reimbursement," said Taylor.

She says the group will ask for payment advances in the future to help cover the costs and promises the organization will attempt to make its obligations in a more timely manner.

The audit does not affect the services that the organization provides.